5 Y/O Video Hosting Platform Making $1.6M Profit/Year (only 5.4M)
Asking Price: | $4,500,000 |
Gross Revenue: | $1,722,418 |
Cash Flow: | $1,193,810 |
Established Year: | 2019 |
ABOUT THE BUSINESS
This listing is for a 5-year-old highly successful file hosting site, monetized via multiple advertising networks, that boasts a 2,000 Alexa rank, an astounding 2,500,000+ visitors/day, and 5,000 active affiliate partners.
KEY POINTS
1. Low maintenance SaaS/Affiliate business run by its 500,000+ registered users (only 30 hours a week to run business)
2. Huge opportunities for growth given low current return per visitor (big opportunity is converting to premium plan - most similar businesses in web traffic are worth billions)
3. Business is now stabilized and very profitable (daily visitors are very consistent at 2.5M+ a day)
4. High value traffic (majority from USA with astounding 34% bounce rate on 10B page views)
MONETIZATION METHODS
PropellerAds, AdSterra and ClickAdu are the main AdNetworks and most of the revenue comes from PropellerAds. The seller uses PopUnder and InPagePush which brings the most revenue. If you click on a link from the site you can see the advertisements in action.
MAIN REVENUE DRIVERS
The business’s customer base comes from a strong network of affiliate partners. These affiliate partners are influencers who sign up to the site and upload their proprietary files and then share them with their subscriber base. When the subscribers view and interact with the advertisements, the site makes money and pays the affiliates a share of this.
CUSTOMERS
There are over 5,000 users on the platform that create revenue with about 25-50 of them who are the most important power users. There are millions (technically billions) of users who generate revenue for the site by viewing and clicking ads.
ADVERTISING
No formal paid advertising has really been done on this business - the combination of top notch platform, a killer support team, & affiliate incentives has enabled the company to achieve amazing success without much/any marketing spend. More than that, through some threads on wjunction.com (and some other forums) and some word of mouth, the platform has gotten the 5,000 power users who provide the platform with the success it is currently experiencing.
EXPANSION OPPORTUNITY
If you converted just 1% of the yearly visitors to be paying users at $4/month, it would produce almost $500M USD of revenue a year! There is a good incentive to sign up as you could offer a ad-free platform for these users, provide more download space, etc. etc. Other of the company's competitors utilize this model and make a lot of money!